1. Field of the Invention
This invention generally relates to a method of conducting auctions and audience guided events, more specifically toward method of conducting auction and audience guided events utilizing closed network satellite broadcast to multiple location digital theater environments with real time audience interaction.
2. Background Information
Brief History of Auctions
The recorded history of auctions extends back to about 500 B.C. when framed historian Herodotus described Babylonian wedding auctions, noting that some women commanded a high price and others were sold with monetary compensation given (dowry style) to the bidder. Reportedly, the Roman Empire used auctions to liquidate property and goods, and was referenced as the “atrium auctionarium.” This mechanism was also used by the soldiers to sell goods acquired “sub hasia” (under the spear). One bizarre account of early auctions identifies that allegedly, in the year 193 A.D. “the entire Roman Empire” was put on the auction block after being sacked. There also exists evidence of Buddhist monks in China using auctions to fund the creation of temples, with custom establishing the auctioning off of the property of deceased monks for this purpose.
In the Middle Ages, King Henry VII of England instituted some of the earliest auction laws and by the seventeenth century, auctions were held in taverns and coffee houses to sell art and other collectible items in Great Britain. Announcements of auction sales devoted to land appeared in the London Evening Post as early as 1739. The framed auction house of Sotheby's was established in 1744 and the equally famous auction house Christie's was founded in 1766.
Soon after the colonization of America, the auction process became the accepted manner of selling furs, clapboard, tobacco, corn, and other necessities. As the country developed, settlers on the western frontier bought and sold their land, crops and other items of necessity via auctions. By the 20th century, continuing into the 21st, the auction became a well established and critical component of the modern economic system selling all manner of goods and services.
Online Auctions
The history of the online auction practically begins in 1995 through a number of distinct sources. Jerry Kaplan and Alan Fisher created the website “ONSALE” and put a wide array of merchandise up for bid in Mid-1995, including watches, wines, sports memorabilia, computer hardware and electronics devices. A Japanese company Aucnet, Inc. went online with a TV Satellite based automobile auction in Mid-1995, although they had proposed this general business model much earlier in a 1987 patent application filing. Also in 1995, Pierre Omidyar, under the name AUCTION WEB, sold his first item via an online auction platform. The item, oddly, was a broken laser pointer, which sold for $14.83 to a man who collected such objects. Omidyar quickly found that his hobby of creating an online garage sale needed to become a part-time business, which grew to a full-time endeavor within a very short period of time. Omidyar renamed his Web site “EBAY,” and it quickly took off.
The auctions developed to date have fallen into a number of distinct types, each with innumerable variations. The “traditional” auction is referenced as an “open ascending price auction.” It is open in the sense that the bidders bid openly against each other and the auction generally closes or ends when the no bidder is willing to increase the offered bid. This is also called an “English” auction based upon where it became popular and/or a “Paddle” auction based upon a customary tool used for indicating the willingness to bid.
Additionally relevant for the present discussion on auctions is the concept of “silent auctions” in which bids are written on a commonly viewable location and at a predetermined end time of the auction the goods go to the highest bidder. Silent auctions represent the general model for most on-line auctions as it is most easily adapted for on-line implementation. Silent auction models, however, may not offer the highest return for the seller. Consider that a common bidding strategy of buyers in silent auctions is to wait till near the end of the auction period and bid what the potential buyer believes will be the highest bid rather than what would otherwise be their highest bid in a paddle auction.
Other traditional auction formats include a Dutch auction which is an open descending price auction in which the asking price is lowered until a bidder is found willing to pay the announced price. This auction type may not obtain the maximum price for an item, which fact is due more to the personal dynamics of an open auction than the mechanics of the Dutch auction. The term Dutch auction has also come to reference a distinct auction mechanism for the sale of several fungible goods at a common price to multiple successful bidders. Variations of this second Dutch Auction type is also seen commonly in on-line variations.
Sealed auctions and variants thereof, such as known as a Vickrey auction, are closed auctions that have the bidders submit their bids simultaneously. In theory, particularly “gaming theory”, these types of auctions produce similar results to a Dutch auction.
There are innumerable variations on these auction types, such as known as the Top up auction, Senior auction, Walrasian auction, Reverse auction, All pay auction and Japanese auction to name a few. In general the paddle auction type will generate the best results for the seller for most goods and services. Further paddle auctions are particularly well suited, from a sellers perspective, for one of a kind items like fine art, antiques, collectables and the like which tend to have variable perceived values in the eyes of prospective purchasers.
Patent Background for Online Auctions
Aucnet, Inc obtained an early patent relating to online auctions in 1988. U.S. Pat. No. 4,789,928 is described as disclosing an auction information transmission processing system that “is constructed by connecting a most significant front computer to a host computer, arranging at least one stage of a plurality of intermediate front computers and a plurality of least significant front computers so as to be connectable to the most significant front computer in a tree-like configuration via communication lines, and arranging a plurality of dealer terminals so as to be connectable to each of the least significant front computers via communication lines.”
U.S. Pat. No. 5,774,873 discloses an electronic auction and motor vehicle auction information system which allows remote users to interactively participate in motor vehicle auction sales of motor vehicles using a personal computer.
U.S. Pat. No. 5,794,219 discloses a method of conducting an on-line auction that permits individual bidders to pool bids during a bidding session.
U.S. Pat. No. 5,818,914 discloses an auction information transmission processing system wherein the host computer connects to a satellite signal transmitter for transmitting auction data signals and other signals to a satellite through a satellite communication line, and each dealer terminal is provided with a satellite signal receiver for receiving the signals transmitted from the host computer through the satellite communication line.
U.S. Pat. No. 6,006,201 discloses an electronic auction and motor vehicle auction information system allows remote users to interactively participate in motor vehicle auction sales using a personal computer.
U.S. Pat. No. 6,012,045 discloses a computer-based method of selling consumer products and services which utilizes a computer system to maintain the electronic bid, auction and sales records, and a plurality of customer computers interconnected with the computer system via a telecommunications link.
U.S. Pat. Nos. 6,415,269, 7,069,243 and 7,076,460 disclose an interactive remote auction bidding system for conducting an auction utilizing a data input device for communication over a network to the auction site. The system includes a data processor located at the auction site for generating bid information for communication over the network to the remote locations. A processor located at the auction side monitors the participants' data input devices for sensing participant bids generated by the participants' data input devices. The system further displays visual bid information at the auction site for transmission over the network to the participants and generates audible bid information in support of that visual bid information.
U.S. Pat. No. 6,519,570 discloses a system and method of conducting a time-auction online among queuing customers.
U.S. Pat. No. 6,519,570 discloses a computer-based method and system for executing an auction in which a nonredeemable fee is collected from each auction participant to enter the bidder pool.
U.S. Pat. No. 6,871,190 discloses an interactive system that conducts auctions over an open communications network.
U.S. Pat. No. 6,892,186 discloses an auction method wherein a computer entity which comprises an algorithm for monitoring a plurality of auction entities remotely over the internet.
U.S. Pat. No. 6,910,019 discloses a method for displaying time lapse for an on-line auction.
U.S. Pat. No. 6,925,446 discloses a purchase price bid research system for on line auctions.
U.S. Pat. No. 6,947,906 discloses a method for conducting a computerized auction of government-held property that is subject to a tiered restriction process.
U.S. Pat. No. 6,952,682 discloses a system and method for matching multi-attribute online auction bids.
U.S. Pat. No. 7,058,602 discloses an auction system and method for suitable use with online transactions which provide a plurality of “enhanced auctions” which are described as to extend, augment or otherwise enhance various auction elements including, for example, the selection of participants, the grouping of participants, the moves made by participants, the bidding process of participants, the information revelation process, the auction closing process, and the auction clearing process, among others.
U.S. Pat. Nos. 7,409,361 and 7,428,501 disclose a system for conducting interactive auctions with remote bidders wherein the remote bidder system is operable to communicate a bid including bid information to the auction system based on a price for the subject of the auction, wherein the auction system uses at least a portion of the bid information to accept the bid where the price for the subject of the auction is the same when the bid is processed by the auction system and to reject the bid where the price for the subject of the auction has changed when the bid is processed by the auction system.
U.S. Pat. No. 7,478,055 discloses auction methods, auction systems and servers which can satisfy requirements other than the price for a client are provided.
U.S. Pat. No. 7,555,445 provides a computerized system and methods for conducting on-line auctions wherein concurrent auctions for one or more lots of products or services may be conducted.
U.S. Pat. No. 7,558,859 discloses a peer-to-peer auction based strategy that balances the storage of data in a data center.
U.S. Pat. No. 7,584,124 is described as “methodology, system and business model are disclosed for facilitating a fully automated buyer's auction in which the major types of transaction costs are significantly reduced by providing the buyer and the sellers with near-perfect information about one another, including information about buyer preferences and competing sellers' offers.”
U.S. Pat. No. 7,747,507, owned by online auction leader eBay, Inc, discloses, broadly, a “method for facilitating commerce at an internet-based auction”.
U.S. Pat. No. 7,747,507 discloses an automated ticket auctioning system that receives and evaluates bid information records received from a plurality of remote terminals wherein each bid information record corresponds to at least one bid for one or more desired seats at a venue.
U.S. Pat. No. 7,778,869 discloses a system and a method that facilitates employing an online auction in which a coupon is fairly administered.
U.S. Pat. No. 7,809,630 discloses online auction technology that includes allowing one or more bidders to each bid on one or more resources, and for each of the bidders: determining a priority level; calculating a bid rate interval; and regulating the relative likelihood of the bidder winning the auction.
U.S. Pat. No. 7,860,754 discloses a system and method for optimizing the reserve price and allocation of web page placements in an online keyword auction using generalized trade reduction.
U.S. Pat. No. 7,895,087 discloses systems for providing an on-line auction relating to “Dutch Auctions,” where the subject of the auction is a plurality of similar items.
U.S. Pat. No. 7,908,180 discloses an online automobile auction, which allows the consumer to participate by using their home or portable computers and accessing the system via an Internet connection, wherein before the designated time for an auction, the consumer may access the database of available automobiles.
The above patents, which are incorporated herein by reference, evidence that the technology for conducting real time online auctions via the internet, or other computer network, is well established. However, these online auction systems are often difficult to implement in a paddle type auction environment. The present invention can utilize some of this existing online auction technologies, the details of these known components need not be discussed in the present application.
Audience Response Systems
Audience response is a type of interaction associated with the use of audience response systems (ARS), to create interactivity between a presenter and his audience.
Audience Studies Institute developed a proprietary analog ARS in the mid-1960s for evaluating the response of a theater audience to generally prerelease motion pictures, television shows and commercials. See also U.S. Pat. No. 3,943,641 (filed in 1974) relating to an early lamp based ARS. Audience response technology has evolved over time, moving away from hardware that required extensive wiring towards hand held wireless devices and small, portable receivers.
Current ARSs often combine wireless hardware with presentation software, and ARSs for remote audiences typically use telephones or web polls for audiences watching through television or the internet. In educational settings, such ARSs are often called “student response systems” or “personal response systems.” The hand-held remote control that students use to convey their responses to questions is often called a “clicker.”
The presenter in typical ARSs uses a computer and a video projector to project a presentation for the audience to see. In the most common use of such ARSs, presentation slides built with the audience response software display questions with several possible answers. The audience participates by selecting the answer they believe to be correct and pushing the corresponding key on their individual wireless keypads. Their answer is then sent to a base station—or receiver—that is also attached to the presenter's computer. The ARS collects the results, and the aggregate data is often graphically displayed within the presentation for all to see. Some clickers also have additional keys, allowing the presenter to ask (and audience members to answer) True/False questions or even questions calling for particular numerical answers. Depending on the presenter's requirements, the data can either be collected anonymously (e.g., in the case of voting) or it can be traced to individual participants in circumstances where tracking is required (e.g., classroom quizzes, homework, or questions that ultimately count towards a student's course grade). Incoming data may also be stored in a database that resides on the host computer, and data reports can be created after the presentation for further analysis.
There have been many reasons proposed for the use of ARSs. Commonly these are identified as improved audience attentiveness; Increased audience knowledge retention; anonymous polling; tracking of individual responses, where the “clickers” that audience members use to send their responses to the receiver and thus to the presenter's computer are often registered to a particular user, with some kind of identifying number or moniker; real time display of polling results; creation of an interactive and fun learning environment; confirmation of audience understanding of key points immediately; gathering of data for reporting and analysis.
Turning Technologies, LLC is a representative example of a company providing ARS solutions and provides an audience response system that integrates into MICROSOFT® POWERPOINT® programs and allows audiences and students to participate in presentations or lectures by submitting responses to interactive questions using a RESPONSECARD™ keypad or other hand-held/computer devices.
The company Poll Everywhere is another representative commercial ARS example and provides Audience Response Systems allowing for collecting questions and feedback from audiences in real-time with inexpensive mobile and web technology. The audience's responses are displayed instantly in the presenter's PowerPoint presentation or web browser.
Meridia provides a commercial audience response system that includes a collection of individual hand-held wireless keypads that audience members use to respond immediately and anonymously to pre-planned and impromptu questions. The questions, posed by presenters throughout a meeting, are displayed on a large video screen at any time. An on-site computer using Meridia's software instantly compiles the results and displays them on the same screen in three-dimensional color bar charts. The percentage or number of audience members voting for each answer can also be revealed. This audience interaction technology is used to measure changes in knowledge levels, track evolving perceptions, and evaluate meeting effectiveness. Additionally this technology has been used to speed up voting occurring in meetings.
U.S. Pat. Nos. 5,223,923 and 5,257,099 disclose a network of local area ARSs that are coupled together at a central audience response processing station through a satellite communication system for real time audience response analysis, nationally or internationally. U.S. Pat. No. 5,226,177 discloses a real time wireless ARS. U.S. Pat. No. 5,453,015 discloses an ARS for quiz shows. U.S. Pat. RE35,449 discloses an ARS that has application as an educational aid to determine the comprehension level of the pupils in a class. U.S. Pat. No. 5,812,642 discloses an ARS provided for monitoring and analyzing audience response to a broadcast promotion. U.S. Pat. No. 6,011,578 discloses an ARS wherein each clicker or response unit is provided having a dial, keypad, and a bi-conditional response mechanism. U.S. Pat. No. 6,516,464 discloses an ARS used to test selected stimuli. U.S. Pat. No. 7,151,540 discloses an ARS for collecting and displaying audience recognition information concerning a video presentation. U.S. Pat. No. 7,555,766 discloses an ARS in which, in response to the ARS, a playback operation of the content (such as a movie) is controlled, so that the “level of satisfaction felt by the audience” to the content can be increased.
The above ARS related patents, which are incorporated herein by reference, and prior art discussions evidence that the ARS technology is well established. The present invention can utilize some of this existing ARS technology and need not discuss the details of these known ARS components in the present invention. Some of these ARS technologies are not particularly well suited for use simultaneously in multiple locations or for integration into a broadcast.
Background Review
Auctions have become a critical economic mechanism for many goods and services and on-line auctions have greatly expanded the commercial reach of auctions particularly to fungible consumer goods. Paddle type auctions for high end goods, such as paintings, works of art, and similar lots, remain a critical economic mechanism; however these paddle type auctions do not translate well to the current on-line auction models preventing paddle auction formats from benefiting from the expansive advantages of on-line auctions.
It is an object of the present invention to address the deficiencies of the prior art discussed above and to do so in an efficient, cost effective manner. Advantages of the present invention will become apparent from a review of the following detailed description of presently preferred embodiments of the invention together with the attached figures wherein like reference numerals represent like elements throughout.